Guangzhou, world’s manufacturing hub, on brink of lockdown.

After rumours last week of China about to announce plans for a recovery, we now have news about Guangzhou being locked down for Covid.

This is a BEAR ETF, meaning the worse things go for China, the more this ETFs price will increase. It is triple leveraged so can go down even more quickly than it rises, so any buyers beware.

More just to let people know that ETFs like this exist so you can effectively take a position against economies (in this case the FTSE China 50 Index) as opposed to individual stocks in a market.

It will be interesting timing just before Christmas. Already hard enough I would imagine getting goods shipped out of there in time for Christmas.

One that could be interesting to watch.

Comment:

Big almost 20% drop in price with the massive Nasdaq rally. Situation in China hasn't changed. Still watching this one, slightly more so now with the deeper discount.